Tata Motors Reports Stable Quarter with Improved Debt Management Amid Declining Profits

Tata Motors has recently reported its financial results for the quarter ending December 2024, revealing a stable performance in terms of its overall score, which has not changed in the past three months. The company has made notable strides in certain areas, particularly in its debt management. The Debt-Equity Ratio stands at 1.05 times, marking a consistent reduction in borrowing relative to equity capital over the last five half-year periods. Additionally, Tata Motors has achieved a strong Debtors Turnover Ratio of 31.92 times, indicating an efficient process in settling debts.
However, the financial results also highlight challenges for Tata Motors. The Profit After Tax (PAT) has shown a significant decline, recorded at Rs 5,469.90 crore, which is notably lower than the average PAT of the previous four quarters. Similarly, the Profit Before Tax (PBT) has also decreased, coming in at Rs 5,910.00 crore, reflecting a downward trend compared to prior averages. Furthermore, the company's cash and cash equivalents have reached their lowest point in the last six half-year periods, suggesting a decline in short-term liquidity.

In summary, Tata Motors is experiencing a mix of positive developments and challenges as it navigates its financial landscape.

Discover the Latest Mojo Score and Financial Trend Performance - SignUp in less than 2 Minutes and get FREE Premium Access.